NASDAQ$CRSR

Corsair Gaming Inc · Q4 2020 earnings

Q4 2020 earnings · · Investor relations

Briefing

Corsair reported strong Q4 2020 results driven by growth in both gamer and creator peripherals and gaming components and systems segments.

Corsair Gaming, Inc. announced preliminary financial results for Q4 2020, featuring a 70.4% year-over-year increase in net revenue to $556.3 million. The company also reported a significant rise in gross profit, operating income, and net income, with adjusted EBITDA margin improving by 430 basis points year-over-year.

  • Net revenue increased by 70.4% year-over-year, reaching $556.3 million.
  • Gamer and creator peripherals segment net revenue increased 104.0% year-over-year to $191.8 million.
  • Gaming components and systems segment net revenue increased 56.8% year-over-year to $364.5 million.
  • Net income was $43.0 million, or $0.43 per diluted share, compared to $6.0 million, or $0.08 per diluted share, in the same period a year ago.

Headline financials

Total Revenue

$556M

Previous: $327M+70.4%
EPS (adj)

$0.53

Previous: $0.30+76.7%
Gross Margin

27.6%

No prior period
Adjusted EBITDA

$72.5M

No prior period
Adjusted EBITDA Margin

13.0%

No prior period
Capital Expenditures

$3.92M

Previous: $1.85M+112.3%
Free Cash Flow

$64.7M

Previous: $34.1M+89.6%
Net Income

$43M

Previous: $6.01M+616.0%
Operating Income

$58.9M

Previous: $14.2M+314.2%
Gross Profit

$154M

Previous: $70.5M+118.3%
Cash & Equivalents

$133M

Previous: $51.9M+156.7%
Total Assets

$1.31B

Previous: $1.06B+24.0%
Stock-Based Comp

$1.51M

Previous: $1.04M+45.9%

Revenue & EPS history

Corsair · Revenue · Quarterly

$556M

Q4 2020+70.4%vs Q4 2019
Beat estimate in 4 of 5 quarters(80%)
ActualEstimate

Revenue by segment

Corsair · $192M total across 1 segment · Q4 2020

  • Gamer & Creator Peripherals
    $192M+104.0%

Forward guidance

For the full year 2021, Corsair expects net revenue to be in the range of $1.8 billion to $1.95 billion, adjusted operating income to be in the range of $205 million to $220 million, and adjusted EBITDA to be in the range of $215 million to $230 million.

Tailwinds

  • Net revenue to be in the range of $1.8 billion to $1.95 billion.
  • Adjusted operating income to be in the range of $205 million to $220 million.
  • Adjusted EBITDA to be in the range of $215 million to $230 million.
  • Company guides continued growth for 2021
  • Expect to continue to use operating cashflows to reduce our debt and continue to invest in growth.

Headwinds

  • The GAAP measures are not accessible on a forward-looking basis.
  • We are currently unable to predict with a reasonable degree of certainty the type and extent of certain items that would be expected to impact GAAP measures for these periods but would not impact the non-GAAP measures.
  • Such items may include stock-based compensation charges, public offering related charges, depreciation and amortization, severance, IPO costs and other items.
  • The unavailable information could have a significant impact on our GAAP financial results.
  • Actual results may differ materially.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2020

Historical avgQ4 2020

+3.8%

Avg return

Earnings day

+4.5%

Avg return

5 days after

+5.8%

Avg return

30 days after

62%

18 / 29 earnings

Positive

+48.3%

Q4 2025

Best reaction

-21.9%

Q2 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+0.0%+4.7%+27.1%
Q4 2025+48.3%+21.7%+16.2%
Q3 2025-3.8%-0.2%+0.0%
Q1 2025-0.3%+21.1%+33.4%
Q4 2024+25.9%+23.0%+5.8%
Q3 2024-0.4%+2.5%+8.7%
Q2 2024-21.9%-22.4%-15.1%
Q1 2024-7.5%-7.1%+0.6%
Q4 2023+1.6%+0.1%-9.0%
Q3 2023-6.6%-5.1%+2.5%
Q2 2023-10.0%-10.0%-12.9%
Q1 2023+8.4%+7.0%+6.8%
Q4 2022+9.0%+15.7%+5.2%
Q3 2022+18.4%+32.0%+38.1%
Q2 2022+5.0%+5.4%-9.6%
Q1 2022-6.3%-10.2%-3.4%
Q4 2021+10.4%+8.6%+6.5%
Q3 2021+5.7%+5.3%-12.3%
Q2 2021-5.5%-3.1%-0.5%
Q1 2020+1.7%+0.7%+1.7%
Q1 2021+1.7%+0.7%+1.7%
Q1 2019+2.8%+3.1%+1.1%
Q4 2018+2.8%+3.1%+1.1%
Q2 2020+2.8%+3.1%+1.1%
Q2 2019+2.8%+3.1%+1.1%
Q4 2020-7.2%-6.4%-26.4%
Q3 2019+10.7%+10.9%+32.5%
Q4 2019+10.7%+10.9%+32.5%
Q3 2020+10.7%+10.9%+32.5%
Q3 2018
Q2 2018
Q1 2018
Q4 2017
Q3 2017
Q2 2017
Q1 2017

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